Archive for the ‘PR’ Category

Corporate reputations on the rocks?

Monday, April 30th, 2012 by Jon Clements

For all the talk in PR circles about the value of corporate reputation – and reputation in public life – there’s been precious little concern shown for it in a host of recent events.

News Corporation chairman, Rupert Murdoch’s appearance at the Leveson Inquiry into media standards, the Prime Minister, David Cameron, and Culture Minister, Jeremy Hunt’s response to the BSkyB email revelations, Chancellor George Osborne’s handling of the economy, Barclays Bank’s attitude to executive pay and the Bahrain Grand Prix – the list goes on.

First, Murdoch: compared to his mostly defiant appearance before the Parliamentary Select Committee investigating phone hacking at News International, his performance at Leveson was sparkling. Who would have imagined hearing Rupert Murdoch say “I failed”? However, when the well-rehearsed mask slipped, the full-blown ugliness of his attitude towards any outside challenge was revealed. What could have been an opportunity to rebuild, or salvage, some remnant of reputation for himself and his organisation was jettisoned. And this could, as Reuters suggests, compound his problems with the Parliamentary Select Committee’s report into phone hacking, out this week.

Taking the Government’s current predicament as a whole, there appears to be too great a willingness to reach for the smoke screen. Shielding Jeremy Hunt behind the running order of the Leveson Inquiry just makes him look guilty as hell for mismanaging his and his special adviser’s relationship with BSkyB. Want to protect your ministerial reputation? then get on with an investigation and be transparent. And on the economy, George Osborne is sticking doggedly to a plan that is not only being roundly rubbished for its incompetence but has reversed the country into recession part 2. But, instead of acknowledging its own poor fiscal decisions, the Government resorts to blaming its preferred punching bag, Gordon Brown.

For Barclays Bank, it’s taken shareholders anger for the reputation card to be played, with a third refusing to back the company’s executive remuneration report, citing the effect of colossal pay deals on the bank’s reputation. Meanwhile the decision to progress with the recent Bahrain F1 Grand Prix carries a reputation risk for its sponsors, according to risk management consultants Maplecroft, Torbjorn Soltvedt, noting  a “risk of indirect complicity for sponsors and organisers in human rights violations carried out by state security forces.”

So, what price reputation? At this rate, it will be consigned to the bargain bin of corporate concerns.

But does it matter? Not so, according to The Economist’s Schumpeter, which takes a swipe at what it calls the “reputation management industry”:

BP’s expensive “beyond petroleum” branding campaign did nothing to deflect the jeers after the oil spill in the Gulf of Mexico. Brit Insurance’s sponsorship of England’s cricket teams has won it brownie points in the short term, but may not really be the best way to build a resilient business. Many successful companies, such as Amazon, Costco, Southwest Airlines and Zappos, have been notable for their intense focus on their core businesses, not for their fancy marketing. If you do your job well, customers will say nice things about you and your products.

Branding? Sponsorship? Fancy marketing? Schumpeter’s own central conceit is undone by its own misunderstanding of what reputation management is. Little wonder some corporate and top flight political attitudes to reputation are, proverbially speaking, all over the show.

Maybe, if the purpose of commerce and politics was solely to be successful and retain power, Schumpeter would be right. But aren’t there broader responsibilities to society  for companies and our elected representatives?

As Dr. Charles J. Fombrun, founder & Chairman of the Reputation Institute says in response to the Economist’s article: “In the short run… it’s true that many companies can and will prosper without directly focusing on building reputation. But these companies are also likely candidates for going awry in the long run because lax practices mean they stockpile huge risks that later prove costly to mitigate (consider, for instance, the tobacco industry’s current payouts and regulation). Lacking a solid reputation, many of these companies also fail to take advantage of the opportunities they have to outperform rivals along the way.”

If those in society’s highest places are treating their reputations with the level of derision currently demonstrated, what does that mean for the value of reputation more generally?  Surely, the bargain bin isn’t where it belongs?

 

 

Edelman’s trust barometer under pressure

Monday, January 23rd, 2012 by Jon Clements

Is international PR agency, Edelman’s annual trust barometer to be trusted?

Or, more to the point, can a PR firm that opts to work with News International be trusted on the subject of “trust”? This is the stance that influential MP and Murdoch-mitherer, Tom Watson, asserted on Twitter this morning – on the day Edelman launched its 12th annual trust and credibility survey.

Watson’s challenge to Edelman led to this exchange with its EMEA CEO, Robert Phillips:

Which led to Phillip’s response (large type) and Watson’s accusation (small type), based on Edelman’s News International connection:

And Phillips’ somewhat indignant plea to Watson:

And a final volley from Watson in return:

So, is Watson right? Is handling PR for News International to be treated as a similarly unethical assignment as – say – representing repressive regimes? And does it destroy your credibility as a communications business?

Only Edelman and NI knows how the conversation went when the deal was being struck, but Watson’s suggestion that working for NI is de facto unethical – ergo Edelman is unethical – is too simplistic and no doubt reflects his own visceral feelings towards Murdoch and co.

If a fly on the wall in the Edelman/NI negotiations told us that the job briefed by the client was to “get us off the hook, spin it any way you want to, but don’t tell us how to run our business,” then Edelman would have to ask itself if this was a gig it wanted.

However, if that same fly reported that the client acknowledged the mess it had made, was willing to make amends to the victims and was committed to a thorough overhaul of its business practices and culture for its own survival and the public good, that’s a different story.

Just as most offenders get the chance to rehabilitate themselves, so companies and organisations deserve the opportunity to put the past behind them and build a new, responsible and ethical paradigm. And if a PR firm is part of a genuine and concerted effort on the part of that company to demonstrate its contrition and willingness to change, then why not? After all, creating good will and understanding among its publics are laudable aims for a company and its PR advisers. According to political commentators Watson, himself, is not averse to the use of PR consultancy.

Tom Watson is not alone in being appalled and disgusted by the endemic corruption and wrongdoing we now know existed in News International. But once the punishment has been handed out, is there no room for second chances?

 

 

Where do SEO and PR meet?

Friday, November 4th, 2011 by Jon Clements

SEO, according to marketers questioned for the above research, has the biggest impact on lead generation. But what does that SEO actually constitute and is it made up, either partly or mostly, of PR activity?

It’s not a question that’s ever answered in Webmarketing123′s State of Digital Marketing Report. More of that later. In the meantime, what else does the research tell us?

Clearly, the metrics of success are firmly focused on tangible returns: for marketers across B2B and B2C, it’s far more about generating leads and making sales than anything else. Taking the B2B marketer in particular, the lesser objectives include building brand awareness (15%), generating site traffic (11%) or building online communities (5%). Curiously, the latter is even less important for the B2C community (2.8%). What was once considered a desirable digital outcome, certainly of social media, seems to be have been relegated to an uncommercial own goal.

But when identifying what these marketers consider the most important measure for digital marketing – i.e. sales – our B2B and B2C cousins are surprisingly close (62% and 68% respectively). Bearing in mind the comparatively more protracted and complex journey for B2B buyers, it’s a revelation that those selling B2B are looking for such high sales conversions via digital alone.  While I can see it as a vital part of building reputation, understanding and consideration along the B2B procurement pathway, I’m sceptical about its ability to close the deal.

Which brings me back to SEO and impact.

Achieving a high, organic search engine ranking takes more than one technique – some delivered better by SEO specialists, others by professional generators of compelling and insightful textual content. Yes, I’m talking about PR people. But PR doesn’t get a mention in the report. Does that mean PR has become a subset of SEO and, if so, are SEO specialists qualified to advise clients about and generate material hitherto done by PR people?

The lines are blurred and, what seems increasingly apparent, is the need that SEO and PR people have to collaborate; after all, if gaining a high search engine ranking has the biggest impact on a client’s lead generation, the tools to do it are not necessarily the province of one discipline alone.

Update: since posting the above, I found this excellent post by Lance Concannon on the SEO/PR dilemma and how it needs to be worked out for everyone’s benefit.

Knox verdict right for the media

Thursday, October 6th, 2011 by Mark Perry

 

It feels as if Amanda Knox’s acquittal this week is the climax of a four year long ‘PR campaign’.

In the build up to the decision by the court in Perugia, the world’s media descended on the town. We also heard from the family of Meredith Kercher who felt justly that their daughter and sister had been forgotten in the media’s focus on Knox.

As events built to Monday’s appeal decision it felt that even the timing of the verdict at almost 9pm was ideal for the American networks’ early evening news programmes.

Within 24 hours Knox was back in her town in Seattle speaking to the gathered news pack. It does however feels as if the ‘PR campaign’ has missed one important thing and something that is a key ingredient to handling a crisis situation.

At no time did she acknowledge her friend Meredith or use the opportunity to reflect on their friendship. Instead it was left to her lawyer to say that “Meredith was Amanda’s friend. Amanda and the family want you to remember Meredith and keep the Kercher family in your prayers.”

Max Clifford has been used as guide as to what she does next. His suggestion was for her to go on a TV show which has international exposure to set the record straight. There is no doubt that when she does decide to come out and tell her story that she will be well rewarded and is no doubt already agreed.

Let us not forget behind the story that Knox has to tell about her experiences in Italy and in an Italian prison that the Kercher family is still looking for closure.

 

ASOS Feels The Digital Love

Thursday, September 29th, 2011 by Julie Wilson


ASOS, Very and Play.com are the three most loved digital brands, a study by Tamar has revealed.

The BrandLove25 report explores the degree to which consumers demonstrate their support and enthusiasm for a digital brand through their social interaction, and ranks companies on a number of different metrics including numbers of Facebook fans, Twitter followers and revenue.

Joining the companies in the top ten are: Chainreactioncycles.com; Lovefilm.com; ebuyer.com; yoox.com; net-a-porter.com; wiggle.co.uk and boohoo.com.

Whilst it is of no surprise to see ASOS and Very feature in the top spots, both companies having been amongst the first fashion retailers to adopt and embrace social media effectively into their marketing strategies, credit has to be given to boohoo.com for achieving such a respectable position.  In just five years since launch, the online fashion retailer has firmly established itself as one of the UK’s top online providers of women’s fashion, picking up a number of industry awards along the way and, as this report shows, positioning itself firmly at the heart of consumers.

What makes a brand engaging could be said to lie in the eye of the consumer but there are five key principles to which companies should adhere if looking to achieve the social medial top spot:

1. Know your customer and identify their wants and needs

2. Stay true to your brand and ensure your voice conveys your personality

3. Maintain consistent participation and invite consumers to be a part of the conversation

4. Address the balance – commercial message delivery versus general interest

5. Provide real added value

Speaking on the results of the report Tanya Goodin, CEO of Tamar said:  ”In the current climate many ‘traditional’ bricks and mortar brands are struggling but pure-play digital brands are powering from strength to strength.  However, this second edition of our Best-Loved Digital Brands league table shows that, even within the digital sector, some brands are performing much better than others.  The size of social media communities give an immediate and very visible way of measuring the ‘love’ customers feel for brands and reported revenue gives us a clear indication of how that ‘love’ translates to sales.  The brands here have demonstrably capitalised on the seismic shift from ‘bought’ to ‘earned’ media and are seeing stellar financial performance as a result.  Digital brands who don’t make the Top 25 table need to look at the stars appearing and take note.”

 

Digital reputation matters too for Toyota

Friday, September 16th, 2011 by Jon Clements

With digital marketing – as with many things – just because you can doesn’t mean you should.

Exemplar of this is the 2008 Saatchi & Saatchi LA Toyota Matrix campaign, soon to be making its re-appearance in a US courtroom.

In brief, the creative campaign was an elaborate online gag in which people received unsolicited emails from spoof, dodgy characters with seemingly real online profiles which appeared to involve the recipient in the fictional online stalker’s chaotic life. The creative panel that road-tested the campaign when launched appeared genuinely impressed with the concept, creative input and attention to detail while their concerns seemed to focus only on how believable it was for the person being “punked” or spoofed. The essence of the campaign – a clever prank – fitted with the DNA of the desired audience of 20-something men.

But one email recipient, Amber Duick, didn’t see the funny side of being digitally stalked by the Toyota campaign’s fictitious, English football hooligan character, Sebastian Bowler (where did they get that name? Surely he should’ve been “Gary”) and looks like she’ll get her day in court with Saatchi on various charges and with a potential price tag of $10m if she wins.

Without wanting to be hard with hindsight on Saatchi – and there’s no doubting the boldness, left-field creativity and relevance for the actual target audience in the campaign – the missing element in the thinking process seems to have been “where could this go wrong?” and “is there a potential reputation problem here?”

An exciting creative concept takes on a life of its own and probably any agency can become wedded to delivering it, no matter what the possible fall-out. Even potential controversy can be considered an added bonus. Call me risk averse – or even an old stiff, if you like, but this was probably a case of controversy that Toyota and Saatchi could’ve done without. At the time, it seems there wasn’t a Toyota  social media team (as it has now) involved in the campaign.

Nowadays, the Toyota social media team tells me that its mix of PR, marketing and customer relations people is “part of the larger digital umbrella” operating at the company.  It’s a fair example of where integration among marketing disciplines – including those with a keener eye for corporate and brand reputation – can help to avert potential disasters when the creative juices get carried away.

Osborne’s GQ appearance is PR disaster

Friday, September 9th, 2011 by Mark Perry

Should politicians be allowed to tell jokes? The answer  judging by George Osborne’s ill-advised attempt at this week’s GQ awards is no.

Mr Osborne was picking up his award for being “Politician of the Year” when during his acceptance speech in which – it has to be presumed – he was trying to be funny he made a lewd comment about the readers of the magazine.

Modesty prevents me from repeating the joke which can be seen here . As can be heard in the clip it went down badly with the star-studded audience who jeered as he exited the stage.

If in accepting the award he was trying to gain some positive personal PR you do have to ask what his advisers were thinking allowing him to appear at a red carpet star-studded event, particularly as he calls for  us all to adopt austerity measures.

He also seems, in the clip, to be reading his acceptance speech from the teleprompters. This probably means that one of his advisers wrote the lines for him which turned out to be so blatantly wrong coming from the Chancellor of the Exchequer.  If they had come from the likes of Jonathan Ross no-one would even have noticed.

Perhaps it was an bungled attempt to show him to be an ordinary ‘bloke’? After all, his age places him in the target readership. I am afraid, Mr Osborne, that this is a PR fail.

Stepping in the wrong direction

Thursday, July 28th, 2011 by Hannah Newbould

Following the news that broke last week regarding Stepping Hill Hospital in Stockport, and the deaths of five poor people, it likely there will be a long-winded process for getting the hospital’s reputation back to what it was.

In this instance, the hospital’s reputation will be damaged on many levels. From credibility to competitive position to the fact that a hospital – not everyone’s idea of a attractive place to spend their time – has now become more unattractive.

PR agency, Bell Pottinger North, has the mammoth task of handling the hospital’s crisis communication.  Associate Director, Richard Clein said: “The reality is that in this situation the police will take the lead on comms – our job is to ensure our messaging is consistent and to ensure we are reiterating the statement that the hospital is a safe place. It’s about reassuring patients and staff as well.”

Exploring the classic procedures of crisis management, there will be a process of being readily accessible to the media, showing empathy for all involved, delivering an appropriate level of communications that reinforces what the hospital does well, and laying down clear preventative processes for the future. In this instance, sending out a chain of press releases about the hospital’s goals and achievements is not the answer. People will not forget this easily, therefore a broad ranging, strategic plan is necessary to rebuild reputation.

But in the situation of a hospital crisis, how will a damaged reputation affect the “customer”?  If a person is picked up by a paramedic, there is no choice about the hospital destination. Are patients at the hospital now feeling nervous about being there? Reassuring these people is a key task for every hospital employee in the wake of what has happened.

How do staff feel about working there at the moment? A medical student or nurse who has studied hard to get a job at a previously good hospital must could well be feeling tainted right now by association with Stepping Hill.

It will be interesting to see how they recover from this. The work of dedicated and trustworthy staff at the hospital needs to be highlighted so the public doesn’t judge a whole hospital by the actions of one person.

*Quote as from PRWeek, July 2011

Will the new Dragon breathe fire?

Wednesday, July 27th, 2011 by Jo Rosenberg

 

With reality shows at an all-time high (TOWIE anyone?) and the likes of The Apprentice shaking things up with a new format, Dragons’ Den can’t afford to rest on its laurels.

Back on BBC Two this Sunday, Dragons’ Den has a new and – some might say – controversial addition to its mega-rich line up.

Hilary Devey, entrepreneur and award winning business woman, will replace James Caan alongside Duncan Bannatyne, Peter Jones, Deborah Meaden and Theo Paphitis.

The daughter of a pub landlord from Bolton, Hilary Devey is no stranger to TV having already appeared on The Secret Millionaire and The Business Inspector.

Despite Devey’s unquestionable success in business (she owns Pall-Ex, a freight distribution company with an annual turnover of £100m) she has had her fair share of ups and downs in her personal life and it’s these turbulences which I suspect is what the BBC is most attracted to.

In an interview with financial website This Is Money earlier this year, Devey admits that her achievement has come at great personal cost. Among the life challenges facing her was helping her 24-year-old son to kick a chronic drug addiction.

“Sometimes I can’t help but feel responsible. I ask myself if things would have been different had I not been so busy doing Pall-Ex,” she told This Is Money.

Meanwhile, Hilary herself, who watched her parents lose everything when her father’s heating company went bust in the Sixties, has been divorced twice and suffered a stroke following a tummy tuck operation.

Clearly this is a woman who has triumphed against all odds; a positive role model with a keen interest in helping women succeed in male dominated industries. It’ll be interesting to see how she fares as the show’s new PR vehicle.

 

Jaffa Cakes launched into digital world

Wednesday, July 6th, 2011 by Hannah Newbould

 

United Biscuits has launched its biggest ever digital campaign in order to promote popular juicy biscuit brand, Jaffa Cakes. The brand has been launched into the social media world in a campaign to increase its online presence.

Media agency, MEC interaction has assisted United Biscuits in launching the integrated social media campaign.

The social media drive consists of two main microsites , ‘Cult of Jaffa’ and ‘The Jaffa Cake Broadcasting Corporation’ (JCBC) – both pages created and managed by MEC.

Cult of Jaffa is an ‘underground’ organisation that has been safeguarding Jaffa Cakes for over 500 years from the likes of the House of Garabaldi. It allows Jaffa Cake fans to become council members, inviting Facebook visitors to become a ‘Grand master, a ‘Jambassador’ or a ‘Keeper of the Scrolls’ .

Fans are encouraged to upload detail of why they should be recruited for the selected role. This acts a community platform and cult members are selected to promote the brand on and offline.

The campaign will roll out two phases over nine months, building a cult of ambassadors and then following the chosen team into their induction.

Sister site - JCBC is a spoof news site that lists news from Cult of Jaffa – today’s breaking news ‘Biscuit Boss in Mega Injunction’. The headlines play on the current news agenda.

Both sites are also supported by Twitter, Facebook, Youtube and Flickr in the hope of increasing Jaffa Cakes’ online presence .

Their online strategy presents an interesting use of social media from both microsites and they host a creative platform in which fans of the brand can interact and engage.  It is a fun strategy with lots of tools for visitors to involve themselves in the activity.

Cult of Jaffa requires you to upload a video or photo of yourself being a bit Jaffa crazy and may require too much effort for people to apply. But who knows? Just because I dropped out at the  ’upload video of self’ stage, it doesn’t mean that the population’s Jaffa crazy people will.  We will see…..